The information contained within this
announcement is deemed to constitute inside information pursuant to
the EU (Withdrawal) Act and amended pursuant to Market Abuse
(Amended) (EU Exit) Regulations 2019. Upon the publication of this
announcement, this inside information is now considered to be in
the public domain.
For immediate release
1st October 2021
Anglo African
Agriculture plc
(“AAA” or the
“Company”)
Corporate Update – Update on Comarco transaction
The following is an update on the proposed acquisition of the
Comarco group of companies (the “Comarco Group”). The
Comarco Group is based in a port in Mombasa, Kenya (the “Port”) and is engaged in
port and marine logistics activities in East Africa.
Comarco transaction update
The Board of AAA has been informed by
certain shareholders of Comarco that they are unwilling to proceed
with the RTO and that they will arrange for the repayment of the
loan and interest due to AAA which amounts to approximately
$1.5mn.
AAA made a $1m loan available to
Comarco in November 2018 for an
initial period of 24 months (the “Loan”). The Loan was
subsequently extended and is due for repayment on 30 September
2021. The Loan is secured by way of an option (the
“Option”) to acquire the shares in Touchwood Investments
Limited (“Touchwood”) should the Loan not be repaid, for a
nominal consideration. Touchwood owns a 4.74 acre section of
land within the Port. The Board believes that the Option
would be worth considerably more than the Loan.
The Board of AAA is very aware that this transaction has gone on
for far too long and has had a detrimental effect on the share
price of the Company. The fact that certain shareholders of
Comarco have now decided not to proceed with the transaction is
extremely disappointing after all the work and effort that AAA has
put in.
The Loan is now due to be repaid immediately and the Comarco
shareholders have proposed to pay it by the end of October
2021. The Board of AAA believes it is still in everyone’s
interests to try and resolve new terms for a transaction and had
been in discussions to resolve one with the Comarco shareholders.
AAA is still open to continue discussions and then complete should
the shareholders of Comarco wish.
As no monies have been received yet, AAA has the right to
exercise its option over the Touchwood shares (last valued at
$12mn) and is considering whether to
exercise this option. Further information will be provided in due
course.
For further information, please visit www.aaaplc.com or contact
the following:
Anglo African Agriculture plc |
|
Andrew Monk, Non-Executive
Chairman |
+44 (0)20 7440 0640 |
Rob Scott, Executive Director |
+27 (0)84 6006 001 |
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VSA Capital Limited
(Financial Adviser and Corporate Broker) |
+44 (0)20 3005 5000 |
Andrew Raca, Maciek
Szymanski (Corporate Finance) |
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